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The launch of PIX was a success. At the beginning of October, banks began receiving registrations from customers interested in using the service. According to the Central Bank, more than 16 million keys were registered in just three days. By October 14, this figure had already exceeded 33.5 million. These figures are positive, despite the fact that a recent survey published in the Valor Econômico newspaper indicated that, at the beginning of September, only a small proportion of Brazilians (13%) understood what the novelty was for. There is therefore still a large audience to be reached.

Recently, I wrote in this space about the digitalization of the credit market and means of paymentThis is a fast-growing trend in countries like China and India. With PIX, we have just taken another step in this direction. The new technology will allow transfers and payments to be made at any time of the day and any day of the week, in just a few seconds.

According to the Bank of International Settlements, in 2018, the annual number of electronic payments per inhabitant in Singapore was 831. In the United States, 495. In Brazil, only 166. This indicates the great potential in Brazil, which is one of the world's largest economies, for the growth of electronic payments.

If it's true that time is money, instant transactions have enormous potential to speed up payment processes, reduce bureaucracy, improve companies' cash flow by facilitating the inflow of funds, and what's better: free of charge for individuals.

The audience was enthusiastic about the PIX you can expect more news. I recently had the opportunity to take part in the Global Retail Show, where I shared the "Financial Big Bang" panel with important players in the process of digitizing the economy, such as João André Pereira (Central Bank), Flavio Rocha (Riachuelo) and Jorge Filho (Telhanorte Tumelero). A number of measures were discussed which, together, seek to promote the democratization of financial instruments and competition, while observing consumer security and privacy. One of these measures is Open Banking, also known as the Open Financial System. Open Banking will make it possible for financial and payment institutions to share standardized data, as long as the consumer consents. The requirement of consent is important because it brings the exchange of information into line with the rules of the General Personal Data Protection Law (LGPD).

Novelty can favor consumers when there is information asymmetry. When starting a relationship with a financial institution, for example, a lack of information can limit the basket of services on offer. If information from previous relationships and other institutions is shared, the customer will be able to count on a more personalized basket and possibly negotiate better conditions.

Personal finance apps that, for control purposes, collect information directly from the user's current account offer, on a very limited scale, an experience close to what will be the Open Banking. As the scale increases, the possibilities will become broader, favoring the emergence of new business models. It is envisioned, for example, that products and services from different providers can be aggregated in a single environment in order to improve the customer experience.

The Central Bank believes that sharing data will act as a vector for competition, increasing the efficiency of the financial system and the quality of services. According to the monetary authority, Open Banking will be implemented gradually, starting at the end of November 2020.

England was one of the first countries to implement Open Banking. Even there, the experience is still recent. According to the entity responsible for implementing Open Banking in that countryIn addition, more than 2 million consumers and small businesses are already benefiting from the new services.

In the long term, the outlook for the Brazilian credit market are quite positive. The technological factor certainly contributes to the ongoing transformations. However much resistance there may still be, history shows that its strength is inexorable.

We should also highlight the work of civil society organizations, whose expertise has contributed enormously to the design of the rules of the game. The bureau sector, which was decisive in improving the Positive data and the LGPD, is closely monitoring the progress of the agenda of measures aimed at the credit market, modernization and digitalization of the economy. An agile and secure financial system is as fundamental as a fair credit system for financial inclusion and increasing citizens' quality of life.

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By: Elias Sfeir President of ANBC & Member of the Climate Council of the City of São Paulo & Certified Advisor